File #: 23-2045   
Type: Ordinance-S Status: Adopted
Meeting Body: City Council Formal Meeting
On agenda: 9/20/2023 Final action: 9/20/2023
Title: Property Management Services Contract for Affordable Housing Portfolio, Group C - Request for Award (Ordinance S-50171)
District: District 1, District 2, District 4, District 6, District 8

Title

Property Management Services Contract for Affordable Housing Portfolio, Group C - Request for Award (Ordinance S-50171)

 

Description

Request to authorize the City Manager, or his designee, to enter into a contract with MEB Affordable Management Services, LLC (MEB) to provide property management services for the City of Phoenix Housing Department's Affordable Housing Portfolio, Group C (Camelback Properties, Paradise Greens, Yale Court, Red Mountain Springs and Desert Meadows). Further request authorization for the City Controller to disburse all funds related to this item. The aggregate contract value including all option years will not exceed $6.4 million. There is no impact to the General Fund.

 

Report

Summary

The City of Phoenix Housing Department, Asset Management Division requires 3rd party property management services in connection with the continued operations of Group C consisting of five multifamily rental developments that are a subset of the Affordable Housing Portfolio (Portfolio) located in Phoenix, Arizona.

 

The City-owned Portfolio consists of 16 multifamily residential housing properties with 1,214 rental units that provide affordable housing to low-to-moderate income residents. This contract is for Group C consisting of five of those properties with an aggregate of 426 rental units.

 

Procurement Information

Request for Proposals FY24-086-1 (DRW) for Property Management Services for Affordable Housing Portfolio, Group C was conducted in accordance with Administrative Regulation 3.10.

 

Five vendors submitted proposals by the deadline of July 13, 2023, and all were deemed responsive and responsible. An evaluation panel, comprised of three City staff, evaluated the submitted proposals. Proposals received points in the following categories: Method of Approach (300 Points), Experience and Qualifications of Firm and Key Personnel (450 Points), Price (150 Points), and References (100 Points). The maximum possible score for each proposal in each group was 1,000 points. The final scores for the proposals received are as follows:

 

  • MEB Affordable Management Services, LLC                     785 Points
  • D.B. Chamberlin & Associates                                                                                    781 Points
  • Consolidated Asset Management, Inc.                                          760 Points
  • Dunlap and Magee                                                                                                                               629 Points
  • Envolve Client Services AZ, LLC                                                               625 Points

 

After reaching a consensus, the evaluation panel recommends award to MEB Affordable Management Services, LLC. The Housing Department concurs with the evaluation panel's decision and recommends awarding the property management services contract to MEB.

 

Contract Term

The initial three-year contract term will begin on or about Oct. 31, 2023, and end on Oct. 30, 2026. Provisions of the contract include an option to extend the term of the contract up to two additional years, which may be exercised in the discretion of the City Manager or designee.

 

Financial Impact

The aggregate contract value, including all option years, will not exceed $6.4 million (including applicable taxes) with an estimated annual expenditure of $1.3 million. Contract costs related to staffing and management fees will be funded by the rental revenue generated by Group C properties. There is no impact to the General Fund.

 

Location

Desert Meadows: 16819 N. 42nd Ave., District 1

Paradise Greens: 16001 N. 25th St., District 2

Camelback Greens: 5102 N. 11th Ave., District 4

Camelback Village - Senior: 5102 N. 11th Ave., District 4

Red Mountain Springs: 1652 N. 52th St., District 6

Yale Court: 2524 N. 31st St. and 3034 E. Yale St., District 8

Council Districts: 1, 2, 4, 6 and 8

 

Department

Responsible Department

This item is submitted by Deputy City Manager Gina Montes and the Housing Department.